State Street SPDR S&P 500 ETF Trust (SPY) review

SPY is the oldest fund on this list and still one of the most traded, but for long-term holders it is not the cheapest way to own the S&P 500. State Street's fund page lists the S&P 500 Index as its benchmark, an inception date of January 22, 1993, options available, 504 holdings and a gross expense ratio of 0.0945%. That cost is roughly three times the 0.03% charged by VOO and IVV and more than six times Fidelity 500 Index, a gap that compounds over decades in a core holding. SPY earns its place for a different reason: it is the fund many traders and options users already watch, and listed options make it useful for hedging. The portfolio is the same large-cap US index as its cheaper rivals, so the ranking comes down mostly to cost. Buy-and-hold investors should usually prefer VOO or IVV for the same index exposure.

Who it is for

active traders and options users who track the S&P 500

Price

0.0945% gross expense ratio per year, about $9.45 per $10,000 invested.

Gross Expense Ratio: 0.0945%
Quoted from the vendor pricing page on November 13, 2026.

Key features

• Tracks the S&P 500 Index
• Inception date of January 22, 1993
• Options available on the fund
• 504 holdings per State Street's fund characteristics
• Gross expense ratio of 0.0945%

Strengths and weaknesses

• Strength: Longest track record on this list, since January 22, 1993
• Strength: Listed options make it a common tool for hedging
• Strength: Same S&P 500 exposure as VOO and IVV
• Weakness: 0.0945% costs about three times VOO or IVV at 0.03%
• Weakness: Large-cap US stocks only
• Weakness: The extra cost adds up for buy-and-hold investors over decades

Key facts

• Expense ratio: 0.0945% gross
• Index: S&P 500 Index
• Inception: Jan 22, 1993
• Options: Available

Where it ranks

State Street SPDR S&P 500 ETF Trust (SPY) is No. 8 in our Best Index Funds verdict.